An immediate impact of tariffs is increased prices. Paying more means less money for other purchases and investments. Less purchases and investments means a smaller economy than there otherwise would be. A smaller economy means less wealth and jobs for most people.
“Trump and his allies believe tariffs are the key to all sorts of wondrous economic outcomes that will make America more prosperous. In his speech to Congress on Tuesday night, Trump said that tariffs “are about protecting the soul of our country,” whatever that means.
But even if you buy those arguments, it should be obvious that tariffs being implemented and then immediately withdrawn (for the second month in a row) will not produce the promised benefits.
They won’t generate revenue for the government, won’t cause businesses to alter their supply chains, and won’t stop the flow of illegal drugs. It’s the equivalent of looking at a river, declaring your intention to build a dam, and then expecting the river to become a reservoir.”
“The U.S. halt in sending military aid to Ukraine could leave the country vulnerable to aerial attacks just as Russia is gearing up for a massive increase in drone and missile strikes.
Ukraine has a reported six MIM-104 Patriot missile batteries — used to protect some of the country’s highest priority targets. The Patriot, with a range of about 160 kilometers, is one of the few systems Ukraine operates that can hit distant targets and knock down Russian ballistic missiles like the Kh-47M2 Kinzhal hypersonic missile.
The pause in deliveries of U.S. weapons coincides with signs that Russia will double down on longstanding efforts to exhaust Ukraine’s remaining supplies of Patriot air-defense missiles. And with no chance of any immediate replenishment from Washington, that leaves Ukraine’s infrastructure and key cities highly exposed.
If the U.S. ends the delivery of Patriot missiles, Ukraine could potentially be supplied by other countries that have acquired the U.S. system.”
“Was that expecting too much from Zelenskyy — to sit and smile while signing away a portion of his nation’s mineral wealth without getting security guarantees in return?”
“The trade deficit is huge. It stands at $235.6 billion — a 12.9 percent increase since 2023. EU countries impose an average 5 percent tariff on U.S. goods, while the U.S. imposes an average 3.3 percent tariff on European goods. Even worse, the EU collects a 10 percent tariff on car imports — that’s four times America’s 2.5 percent.”
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“This has to change — and it can — but not through a tit-for-tat race to higher tariffs. Rather, we need to lower tariffs and observe symmetry. Ideally, EU-U.S. trade would be tariff-free. However, if that’s unachievable, tariffs should be, on average, 2 percent on both sides. That would create a huge stimulus for both economies, and it could be the basis and precondition for what is existentially necessary: a common trade strategy on China.”
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“If Trump is serious about “America First,” there’s one thing he should come to terms with — it shouldn’t mean “America Alone.” More leverage at the negotiating table with China, a healthy U.S. economy without inflation, and a prosperous Germany that could turn around a stumbling EU would be in the interest of the American people and Europe.”
Trump paused tariffs on automobiles because big auto companies called him and convinced him to pause them. What about all those companies and consumers who do not have Trump’s ear?
Russian victory is not inevitable. Russian territorial progress has been slow, by May 9th Russian will have lost a million soldiers killed or wounded, Russia has about a year’s worth of armored vehicles left, Russian logistics is using: civilian vans, golf buggies, and donkeys, and the Russian economy is making huge sacrifices to support the wartime economy.